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08 August 2012

8th August,
Wednesday

Residential

Bright Hill Drive site attracts
S$292m top bid

Source: Today

A 99-year leasehold site for private
housing at Bright Hill Drive attracted six bids at the close of tender Tuesday,
the Housing and Development Board said, with the top bid of S$291.5 million
coming from UVD, a joint venture between Singapore Land and UOL Group.

The site has a land area of 144,637
sq ft and a maximum allowable gross floor area of 404,983 sq ft.

UVD's bid translates to about S$720
per sq ft per plot ratio, DWG research analyst Lee Sze Teck said, noting that
this was 18.1 per cent higher than the second-best bid.

The plus points of the Bright Hill
Drive site are the low-density developments surrounding it and its proximity to
amenities including Thomson Plaza and Ai Tong School, he said, noting that
future residents would also enjoy a view of MacRitchie Reservoir.

Negative elements include the odd
shape of the site and the narrow access, he said.

Mr Lee added: "There could be
pent-up demand in the area as there have been no new project launches for many
years. Thomson Grand, which is nearer to Bishan, is 100 per cent sold as of
April 2012 at a median price of S$1,300 psf."

He estimated the breakeven price at
between S$1,100 and S$1,150 psf and the sale price at around S$1,250 to S$1,300
psf.

The Government's aggressive ramping
up of the supply of Build-to-Order (BTO) flats has got at least one group of
residents unhappy: At Ang Mo Kio St 52, some residents of a Design, Build and
Sell Scheme (DBSS) project are upset over plans to build a BTO project less
than 50m from their development.

The new 710-unit BTO project is
expected to be launched next month and the concerns of some of the residents at
Park Central - who obtained the keys to their homes less than a year ago -
include the dust and noise that would be generated, and whether there are
sufficient amenities, including car park lots, to cater to another cluster of
flats.

However, another resident felt that
the situation required some give-and-take. "We will have to live with it
as it satisfies a need and the Government is doing it for the people," he
added.

However, property analysts TODAY
spoke to were less sympathetic: Given the scarcity of land here, the residents
should be prepared for the vacant land to be utilised for housing.

An analyst said: "HDB has a
rather packed building programme, so they have to find vacant land somewhere
... if there is vacant land near the DBSS project, there is a possibility that
the Government could develop HDB flats on (it)."

Another analyst said: "What is
there to complain or be unhappy about?" He added: "I don't think the
lessor will go ask the lessee for permission to build more flats in the
vicinity."